Increase or decrease in the operating income in 2014. Given information: 2014, Cost of goods sold of A is 440,000. Cost of goods sold of B is 930,000. Selling, general and administrative expense of A is $96,000. Selling, general and administrative expense of B is $202,500. Percentage of cost of goods sold of A is 90%. Percentage of cost of goods sold of B is 80%. Percentage of Selling, general and administrative expense of A is 50%. Percentage of Selling, general and administrative expense of A is 50%. Saving on the fixed cost is 40%.

Question

Want to see the full answer?

Answer 1

Question

Chapter 11, Problem 11.41P

1.

To determine

Increase or decrease in the operating income in 2014.

Given information:

2014,

Cost of goods sold of A is 440,000.

Cost of goods sold of B is 930,000.

Selling, general and administrative expense of A is $96,000.

Selling, general and administrative expense of B is $202,500.

Percentage of cost of goods sold of A is 90%.

Percentage of cost of goods sold of B is 80%.

Percentage of Selling, general and administrative expense of A is 50%.

Percentage of Selling, general and administrative expense of A is 50%.

Saving on the fixed cost is 40%.

2.

To determine

Increase or decrease in the operating income.

3.

To determine

To identify: factor which should be considered before taking the decision of division.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

subject ?? General accounting

Please provide the answer to this general accounting question using the right approach.

Kindly help me with this General accounting questions not use chart gpt please fast given solution

Answer 2

Question

Chapter 11, Problem 11.41P

1.

To determine

Increase or decrease in the operating income in 2014.

Given information:

2014,

Cost of goods sold of A is 440,000.

Cost of goods sold of B is 930,000.

Selling, general and administrative expense of A is $96,000.

Selling, general and administrative expense of B is $202,500.

Percentage of cost of goods sold of A is 90%.

Percentage of cost of goods sold of B is 80%.

Percentage of Selling, general and administrative expense of A is 50%.

Percentage of Selling, general and administrative expense of A is 50%.

Saving on the fixed cost is 40%.

2.

To determine

Increase or decrease in the operating income.

3.

To determine

To identify: factor which should be considered before taking the decision of division.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 11, Problem 11.41P

1.

To determine

Increase or decrease in the operating income in 2014.

Given information:

2014,

Cost of goods sold of A is 440,000.

Cost of goods sold of B is 930,000.

Selling, general and administrative expense of A is $96,000.

Selling, general and administrative expense of B is $202,500.

Percentage of cost of goods sold of A is 90%.

Percentage of cost of goods sold of B is 80%.

Percentage of Selling, general and administrative expense of A is 50%.

Percentage of Selling, general and administrative expense of A is 50%.

Saving on the fixed cost is 40%.

2.

To determine

Increase or decrease in the operating income.

3.

To determine

To identify: factor which should be considered before taking the decision of division.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 11, Problem 11.41P

1.

To determine

Increase or decrease in the operating income in 2014.

Given information:

2014,

Cost of goods sold of A is 440,000.

Cost of goods sold of B is 930,000.

Selling, general and administrative expense of A is $96,000.

Selling, general and administrative expense of B is $202,500.

Percentage of cost of goods sold of A is 90%.

Percentage of cost of goods sold of B is 80%.

Percentage of Selling, general and administrative expense of A is 50%.

Percentage of Selling, general and administrative expense of A is 50%.

Saving on the fixed cost is 40%.

2.

To determine

Increase or decrease in the operating income.

3.

To determine

To identify: factor which should be considered before taking the decision of division.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 11, Problem 11.41P

1.

To determine

Increase or decrease in the operating income in 2014.

Given information:

2014,

Cost of goods sold of A is 440,000.

Cost of goods sold of B is 930,000.

Selling, general and administrative expense of A is $96,000.

Selling, general and administrative expense of B is $202,500.

Percentage of cost of goods sold of A is 90%.

Percentage of cost of goods sold of B is 80%.

Percentage of Selling, general and administrative expense of A is 50%.

Percentage of Selling, general and administrative expense of A is 50%.

Saving on the fixed cost is 40%.

2.

To determine

Increase or decrease in the operating income.

3.

To determine

To identify: factor which should be considered before taking the decision of division.

Answer 6

Chapter 11, Problem 11.41P

1.

To determine

Increase or decrease in the operating income in 2014.

Given information:

2014,

Cost of goods sold of A is 440,000.

Cost of goods sold of B is 930,000.

Selling, general and administrative expense of A is $96,000.

Selling, general and administrative expense of B is $202,500.

Percentage of cost of goods sold of A is 90%.

Percentage of cost of goods sold of B is 80%.

Percentage of Selling, general and administrative expense of A is 50%.

Percentage of Selling, general and administrative expense of A is 50%.

Saving on the fixed cost is 40%.

Answer 7

Chapter 11, Problem 11.41P

1.

To determine

Increase or decrease in the operating income in 2014.

Given information:

2014,

Cost of goods sold of A is 440,000.

Cost of goods sold of B is 930,000.

Selling, general and administrative expense of A is $96,000.

Selling, general and administrative expense of B is $202,500.

Percentage of cost of goods sold of A is 90%.

Percentage of cost of goods sold of B is 80%.

Percentage of Selling, general and administrative expense of A is 50%.

Percentage of Selling, general and administrative expense of A is 50%.

Saving on the fixed cost is 40%.

Answer 8

2.

To determine

Increase or decrease in the operating income.

Answer 9

2.

To determine

Increase or decrease in the operating income.

Answer 10

3.

To determine

To identify: factor which should be considered before taking the decision of division.

Answer 11

3.

To determine

To identify: factor which should be considered before taking the decision of division.

Answer 12

Expert Solution & Answer

Answer 13

Expert Solution & Answer

Answer 14

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 15

Ch. 11 - Prob. 11.1Q Ch. 11 - Define relevant costs. Why are historical costs...Ch. 11 - All future costs are relevant. Do you agree? Why?Ch. 11 - Distinguish between quantitative and qualitative...Ch. 11 - Describe two potential problems that should be...Ch. 11 - Variable costs are always relevant, and fixed...Ch. 11 - A component part should be purchased whenever the...Ch. 11 - Prob. 11.8Q Ch. 11 - Managers should always buy inventory in quantities...Ch. 11 - Management should always maximize sales of the...

Increase or decrease in the operating income.

To identify: factor which should be considered before taking the decision of division.

Want to see the full answer?

Chapter 11 Solutions